As the Black American population has grown – up 21% from 2005 to 2022 – so has its buying power. The economic clout of Black American consumers has increased 71% from 2010 to 2021 with a growth forecast to $2.10 trillion by 2026.
Black Americans make up 14.4% of the total U.S. population, numbering 47.9 million. And this group is on track to increase by 35.7% by 2060 while the non-ethnic White population shrinks by 10%.
The Black population is younger with a median age of 33, compared to 38 for the U.S. population as a whole. And it is expanding into new areas of the U.S. Data from the 2020 Census count by region found that over the past 10 years the Black American population saw the biggest increase in the Mountain (+38.9%), New England (+26.5%), and West North Central (+23.0%) divisions, while the White population is down across all regions.
It’s not just that the Black American population is rising. The life-group is seeing strong growth in key socioeconomic categories. For example, the number of Black Americans 18+ who have a household income of $100k or more increased 43% over the past five years.
“Advertising to the Black American consumer is imperative for brands and advertisers to gain exposure and grow market share,” says from Katz Multicultural in a new report entitled “The Importance of the Black American Consumer.”
Advertising to Black American consumers is more than just good for business – it’s also good for the communities whose citizens the advertisers are trying to win over as regular customers. “With a history of underserving this consumer life-group, advertisers and brands have an opportunity to tap into this market to expand their reach and cultivate brand awareness in addition to servicing often neglected communities and creating value for consumers,” the Katz Multicultural report says.
As has been shown by Nielsen and other media research firms, Black Americans are avid media consumers spending over 81 hours each week. That’s 17% more than the general population. No medium reaches more of this life-group, or engages and influences more, than radio. According to Nielsen, AM/FM radio out-reaches all other media among Black Adults 18+.
What’s more, radio reaches more than eight out of ten Black consumers across most demographic targets. The one exception is Black persons 18-34, where radio reaches 78%. And broadcast radio towers above other ad-supported (non-subscription) audio formats, both in reach and time spent listening. Among Black adults 18+, radio captures 94% of the ad-supported audio pie in reach and 62% of time spent listening.
According to the report, radio is “an effective medium, reaching Black consumers on the go, whether commuting, working or shopping, when an advertiser’s message is most actionable.”
The report shows the deep, long-term bonds Black Americans have with their favorite radio station. Just under 7 in 10 Black American listeners (69%) have a favorite radio station. In a finding that shows remarkable long-term loyalty, that radio station has been their favorite for a staggering 18 years.
The report quotes Sudipti Kumar, director of multicultural Insights at Collage Group. “The growth in Multicultural populations in the U.S. means these segments wield immense influence,” Kumar is quoted as telling The Hill in a statement. “Their desire for diverse perspectives and a deep understanding of their cultural identity by brands and organizations will be even more critical in the future.”
Download “The Importance of the Black American Consumer” HERE.